According to the Census of Motion Picture Exhibition Industry, there were 79.4 million paid admissions to cinemas in 1999-2000 which generated gross box office receipts of $678.9m (or 65% of the total income of motion picture exhibitors). Sales of food and beverages contributed a further 17% to business income, while their major expenses were Film hire and Wages and salaries (29% and 14% of total expenses respectively).

16.10 INCOME AND EXPENSES OF BUSINESSES IN THE MOTION PICTURE EXHIBITION INDUSTRY - 1999-2000

Value

Percentage contribution

$m

%

Income

Gross box office receipts

678.9

64.9

Sales of food and beverages

175.9

16.8

Screen advertising income

32.5

3.1

Other income

158.8

15.2

Total income

1 046.1

100.0

Expenses

Wages and salaries

129.9

13.9

Other Labour costs

18.6

2.0

Rent, leasing and hiring expenses

Film hire

268.2

28.7

Other

118.8

12.7

Total

387.0

41.4

Advertising, marketing and promotion expenses

43.3

4.6

Other operating expenses

196.3

21.0

Purchases of goods for resale

49.1

5.3

Other

110.2

11.8

Total expenses

934.3

100.0

ABS, Motion Picture Exhibition, 1999-2000 (cat. no. 8654.0).

Video hire

In 1999-2000, video hire outlets earned about three-quarters (76%) of their income through rental of videos and DVDs. Wages and salaries accounted for about one-fifth (21%) of total expenses, with the other main expense items being purchases of videos and related goods (18%) and rent, leasing and hiring expenses (17%).

16.11 INCOME AND EXPENSES OF BUSINESSES IN THE VIDEO HIRE OUTLET INDUSTRY - 1999-2000